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April 2013

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Research
U.S. Member Tax Survey Results
Help AED Establish Tax Reform Priorities
Findings will also be used to demonstrate distributors��� role in the broader economy.
By Christian A. Klein
More than 100 members responded to our recent
tax survey, making it a very successful AED research project
and providing a highly reliable industry sample. The data
you provided has allowed us to complete one of the most
comprehensive analyses of equipment distributor tax issues
ever. The association���s lobbyists are putting the data to
good use advocating for dealers on Capitol Hill as the tax
reform debate heats up this spring.
Here is what you told us and here���s what we think
it means:
Revenues, Employment, Impact
What you told us: Respondents reported collective
annual 2011 revenues of approximately $11.3 billion and
more than 20,000 employees. Average sales per employee
were $562,108.
What it means: AED projected those numbers across
our entire membership to estimate that the association���s
U.S. dealer members earned $26.67 billion in total revenues in 2011 and employ close to 47,000 people. Based
on an earlier economic study that found each dollar spent
at an equipment distributorship creates $3.19 in direct,
indirect, and induced economic activity, we estimate our
membership���s total economic impact at $85 billion. Those
figures will help lawmakers, the media, and other key
audiences understand how equipment dealers fit into the
broader economy and will help us make our case as AED
seeks policy solutions favorable to the industry.
Dealer Revenue Streams
What you told us: New and used equipment sales
account for just under half of the average survey respondents��� revenues, while parts, service, and other product
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